How does the payment process work?
You will typically receive your first check in the mail for a portion of the total claim amount. Once all the work is completed, Roofing for HOPE will send the final invoice to the insurance company. You will then receive your second check. If supplemental items were found to be damaged after the initial scope, there may be a third check.
What is my deductible?
Most policies now have two deductibles. One is for hail and wind damage to your roof and the second is for all other perils. MOST PEOPLE ARE NOT AWARE OF THIS DETAIL. Check the declaration page on your policy to see what your deductibles are. If the deductible is a percentage, it typically means a percentage of the total value of your property. For example, a $200,000 insured property value with a 1% deductible means you will always pay the first $2,000 of every claim.
What is depreciation?
This is the amount of the product that you have already used. For example, a 20 year warranted roof shingle that is 10 years old has been used for 50% of its life. Therefore, your first check for the insurance claim would be reduced 50%. Most people have replacement cost value (RCV) policies, which means you will still receive the depreciation amount once the work has been completed. If you have an actual cash value (ACV) policy, the depreciation amount will not be recovered by you. You will have to pay for the value you have already used in regards to that product. Check the declaration page on your policy to see what type of policy you bought.
Who will the checks be made out to?
If you have a mortgage the check may be payable to you and the mortgage company. Call your mortgage company to find out their procedures. If you own the property outright the checks will typically be made out to you.
How do I pay my contractor?
This depends on you and your contractor’s agreement. You can endorse the insurance checks over to your contractor or deposit the checks into your account and pay your contractor from your own bank account. At Roofing for HOPE we accept first checks as deposits for materials and final payment upon your receipt of funds from the insurance company and the mortgage company if a mortgage company is involved. These terms are general and may be altered depending on each individual case.
What if you find additional damage while replacing the roof?
During the construction process, additional damage may be discovered by our staff and a supplemental request will be made to the insurance company. This is typical and is paid with proper documentation. If you notice additional damage that was not in the initial scope of work, don’t hesitate to let us know so we can include it in the work.
What if I have damage but do not file a claim?
You typically have one year from the date of the storm to file a claim and get the work done. If you do not make this deadline you may lose your right to make a claim. We see many property owners pay for storm damaged roofs with their own money when an inspector finds damage during a real estate sale. You are paying for coverage. Why not use it?
What if I do file a claim? Will my rates go up?
Insurance companies typically raise rates based on hail damage by geographical areas. Whether you file a claim or not, your rates will go up or down based on the risk of loss in your area. The Dallas/Fort Worth area is one of, if not the, highest risk areas for hail in the United States.
What if I decide to keep the check and not do the work?
If you keep the initial payment and not perform the repair work you will not receive the remaining portion of the claim amount and your damaged property will be uninsured. Since the insurance company has paid for the damage you are now responsible to pay for the repairs at your own expense. You will not be paid again if another storm hits or the damage is identified during the sale of your property and the buyer or new insurer or mortgage company requires repairs be made prior to insuring or loaning money on the property. You typically have one year to get the repair work completed and still receive the final payment. Some insurance companies will extend that time for one additional year if you request the extension before their deadline to do so.
What if my insurance company tells me I have to use their preferred contractor? Do I have to use them?
The property owner has the right to choose the restoration contractor for their property. Nobody can force you to use their contractor.
What if I want to change the style, color or quality of my roof or any other part of my property?
As long as you report your property to your mortgage company requirements or to local codes and ordinances, you can pick whatever you want.